For the Three Sampling Techniques That Aren't Likely to Result

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The Answer is a. Block sampling may be appropriate in some situations where the auditor is interested in testing a sequence of transactions. Typically many blocks must be sampled for the conclusions to be valid.
b. Haphazard sampling may be used when the documents are physically available to the auditor, who may simply reach in to a file and pull out 10 invoices without looking at them or considering any attributes about the invoices. Also, for tests of process controls that involve observing employee actions, the auditor might choose to perform haphazard sampling when visiting the client's facilities for other reasons. This might be employed when a random number table is not available or in the case that documents or items are not pre-numbered.
c. The auditor may use judgmental sampling when he wishes to consider the attributes of the items in the population when determining which ones to examine. This approach does not necessarily result in a representative sample, but its use is often justified because it allows the auditor to focus on items that are more likely to have problems or have a material impact on the financial statements. Common attributes that the auditor might consider when judgmentally selecting a sample include: magnitude of a transaction, date of a transaction, parties to the transaction and the nature of underlying assets and liabilities. For example, knowledge that the bookkeeper takes a vacation in August and is replaced by several temps could induce a judgmental sample that places emphasis on August transactions.

For the Three Sampling Techniques That Aren't Likely to Result

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For the Three Sampling Techniques That Aren't Likely to Result

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Correct Answer:
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